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Osakis council approves 2026 budget, sets final tax levy at 4.5%
Summary
After a truth‑in‑taxation hearing, the Osakis City Council approved the 2026 budget and Resolution 2025‑30 setting the final levy at 4.5%; council also adopted water and sewer rates for 2026. Staff said a $4,889 carryover made the lower levy possible without cutting planned reserves.
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The Osakis City Council voted Dec. 8 to adopt the 2026 budget and set the final tax levy at 4.5% after a statutorily required truth‑in‑taxation public hearing.
Angela Jacobson, a city staff member, summarized the budget highlights and the truth‑in‑taxation materials, saying the council had initially reviewed a 5% levy proposal but that a reported carryover of $4,889 could allow the levy to be reduced to 4.5% without drawing on reserves. Jacobson said the largest expenditure increases in the proposed budget were for parks and recreation (including the beach, community center, trails and ice rink) and the police department.
Mayor JD said he preferred not to pull from reserves and supported lowering the levy to 4.5% rather than reducing services. After closing the hearing with no public-floor comments recorded, the council voted by voice to approve Resolution 2025‑30 setting the final levy at 4.5% and then approved the 2026 budget as presented.
Councilors also approved the water and sewer rates for 2026 during the same meeting. The consent agenda and payment of bills listed in the meeting packet were approved; the transcripted figure for the total bills was unclear in the public record.
The levy and budget take effect for the city's 2026 fiscal year. The council's actions follow the procedures required for truth‑in‑taxation hearings and formal budget adoption; any additional implementation steps (tax statements, county levy certification) will follow routine administrative processes.

